Manchester City has reached a settlement with the Premier League regarding a dispute over the rules governing associated party transactions (APT). The agreement ends a lengthy legal battle that began when City challenged the validity of these rules, which were designed to prevent clubs from profiting from commercial dealings with companies linked to their owners at inflated values. Both the club and the league have agreed to terminate their legal proceedings, with a joint statement indicating that no further comments will be made by either party.

The APT rules were introduced in December 2021 following the controversial takeover of Newcastle United and have undergone amendments in 2024. Manchester City previously succeeded in challenging aspects of these regulations, which led to a tribunal ruling that certain shareholder loans should not be excluded from the APT framework. Despite this, a majority of Premier League clubs voted to make further amendments to the rules, which City opposed.

This settlement allows Manchester City to move forward without the shadow of legal challenges hanging over their operations. They are expected to resubmit a proposed sponsorship deal with Etihad Airways, which had previously been blocked by the Premier League for not meeting fair market value standards. Although there have been reports suggesting that City might have received assurances regarding the approval of this deal, it will still be subjected to a fair market value assessment by the Premier League.

While this resolution addresses the APT rules dispute, it does not impact the ongoing disciplinary case against Manchester City concerning more than 100 alleged breaches of financial rules, which the club continues to deny. The outcome of that case remains pending, with no verdict yet delivered by the independent commission that heard the allegations.